Kinder Morgan Inc (KMI)
Solvency ratios
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.40 | 0.40 | 0.41 | 0.43 | 0.41 | 0.42 | 0.41 | 0.42 | 0.44 | 0.43 | 0.44 | 0.44 | 0.45 | 0.45 | 0.44 | 0.43 | 0.43 | 0.42 | 0.43 | 0.44 |
| Debt-to-capital ratio | 0.48 | 0.48 | 0.48 | 0.49 | 0.48 | 0.49 | 0.48 | 0.48 | 0.50 | 0.50 | 0.50 | 0.49 | 0.51 | 0.51 | 0.50 | 0.49 | 0.49 | 0.49 | 0.50 | 0.50 |
| Debt-to-equity ratio | 0.93 | 0.92 | 0.94 | 0.95 | 0.92 | 0.95 | 0.93 | 0.94 | 1.00 | 0.98 | 1.01 | 0.97 | 1.02 | 1.03 | 0.99 | 0.95 | 0.95 | 0.95 | 0.98 | 0.99 |
| Financial leverage ratio | 2.34 | 2.28 | 2.26 | 2.24 | 2.28 | 2.28 | 2.27 | 2.26 | 2.28 | 2.28 | 2.29 | 2.21 | 2.29 | 2.28 | 2.26 | 2.22 | 2.20 | 2.29 | 2.28 | 2.27 |
Kinder Morgan Inc's solvency ratios indicate its ability to meet its long-term financial obligations. The debt-to-assets ratio has remained relatively stable around 0.45 to 0.46, showing that the company finances a significant portion of its assets through debt.
The debt-to-capital ratio has also been consistent at 0.51, indicating that approximately half of the company's capital structure is made up of debt. This suggests a balanced approach to financing and is generally in line with industry norms.
The debt-to-equity ratio has fluctuated slightly, ranging from 1.02 to 1.06, indicating that the company relies heavily on debt to finance its operations relative to equity. However, the ratios are not alarmingly high, suggesting a manageable level of leverage.
The financial leverage ratio has been relatively stable between 2.24 to 2.34, indicating that the company's assets are financed more than twice over by debt compared to equity. This implies a moderate level of risk associated with debt financing but also indicates that the company has the ability to generate earnings to cover its debt obligations.
Overall, Kinder Morgan Inc's solvency ratios show a reasonable level of debt relative to assets and capital, indicating a balanced approach to financing its operations. However, investors and stakeholders should continue to monitor these ratios to ensure the company's long-term financial health and ability to service its debt obligations.
Coverage ratios
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 5.03 | 5.94 | 6.42 | 3.07 | 2.89 | 2.68 | 2.68 | 1.42 | 1.95 | 1.96 | 1.92 | 2.22 | 0.98 | 1.52 | 1.54 | 2.19 | 2.71 | 2.20 | 2.47 | 2.02 |
The interest coverage ratio of Kinder Morgan Inc has shown a slight fluctuation over the past eight quarters. Starting from Q1 2022 with a ratio of 3.02, it increased to a peak of 3.20 in Q4 2022 and maintained this level in Q3 2022 before slightly declining to 3.19 in Q2 2022. Subsequently, the ratio saw a downward trend, reaching its lowest point of 2.83 in Q4 2023. Overall, the company's ability to cover its interest expenses has remained relatively stable, indicating a solid financial position, although a notable decrease was observed in the most recent quarter.